Pirelli Register Notable Decline In Income For First 9 Months in 2016

In the first 9 months of this year, Pirelli has failed to do well in both sales and its income compared to the same period in 2015. Pirelli’s net sales saw a slump by a margin of 3.8% and now stands at 4.53 billion euros year-on-year basis. This slump is a direct result of company’s deconsolidation of its business in the South American country, Venezuela. Barring this development, the turnover saw a negligible decline of 0.1% only.

Pirelli’s Consumer Business saw a healthy profit of 4.8% and now stands at 3.78 billion euros, and the proportion of this segment from premium products surge from 62.2% from 2015 to 64.6% in 2016. While turnover of Pirelli’s Industrial Business dipped sharply by 19% year-on-year basis to stand at 764.9 million euros in 2016.

Moreover, company’s operating income shrank by 16.6% year-on-year basis to stand at 540.5 million euros till September – 2016. Further, it is worth noting that even without taking the Venezuelan development, Pirelli still would have saw a decline of 13.3% in its operating income. Their operating margin too was less than at the same period a year ago. It was 13.8% in 2015 and now it is 11.9%. The biggest slump was recorded in Net Income that stood at only 22.7 million euros as compared to 276.6 million euros last year during the same recorded period.

Author: Ankit verma

My need for speed began at a very early age and I realised this as soon as I got my first bicycle at the age of 8. When all the other kids would break downhill I would pedal harder just to go faster and enjoy the thrill. Adding to my interest for speed, I grew engrossed in the working mechanics of two wheelers thanks to my father as he is a hydraulic mechanic and would take me along with him on his repair sessions. Eventually I became familiar with the tools and basic technical concepts of two wheelers.Super sport and sport tourers are more of my liking and the sparks to these flames were ignited the first time I experienced the maddening power of a Yamaha YZF R1. I was just 14 years old at the time and got to ride as a pillion with an older acquaintance. This one short ride influenced my every decision in terms of the bikes I want to own. As of today I’m 26 years old and a proud owner of a Yamaha Fz15 version 2.0 and a Kawasaki Ninja 650 2014 model having clocked a decent 30k Kms only while touring, waiting to clock 1000s more as riding makes me feel whole again after enduring the dismal routines of life. Read more